new jersey automotive september 2014

www.grecopublishing.com

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CIC, SCRS ANNOUNCEBIG NEWS IN DETROIT pg. 22

September 2014$5.95

THE OFFICIAL PUBLICATION OF THE ALLIANCE OF AUTOMOTIVE SERVICE PROVIDERS/NEW JERSEY (www.AASPNJ.org)AND THE AUTOMOTIVE RECYCLERS ASSOCIATION OF NEW JERSEY (www.ARANJ.org)

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SERVING THE NORTH JERSEYAUTOMOTIVE INDUSTRY FOR OVER 30 YEARS

SERVING THE NORTH JERSEYAUTOMOTIVE INDUSTRY FOR OVER 30 YEARS

2 New Jersey Automotive September 2014

New Jersey Automotive September 2014 5

VOLUME 44, NUMBER 9 September 2014P.O. Box 734

Neptune, NJ 07753

EXECUTIVE DI REC TORCharles Bryant732-922-8909 / [email protected]

2013 - 2015 OFFICERSPRESIDENTJeff McDowell, Leslies Auto Body732-738-1948 / [email protected]

COLLISION CHAIRMANDave Laganella, Peters Body and Fender201-337-1200 / [email protected]

MECHANICAL CHAIRMANKeith Krehel, Krehel Automotive Repair, Inc.973-546-2828 / [email protected]

TREASURERTom Elder, Compact Kars, Inc.609-259-6373 / [email protected]

SECRETARYThomas Greco, Thomas Greco Publishing, Inc. 973-667-6922 / [email protected]

BOARDJerry McNee, Ultimate Collision Repair, Inc. 732-494-1900 / [email protected]

Sam Mikhail, Prestige Auto Body908-789-2020 / [email protected]

Ted Rainer, Ocean Bay Auto Body732-899-7900 / [email protected]

Anthony Sauta, East Coast Auto Body732-869-9999 / [email protected]

Randy Scoras, Holmdel Auto Body732-946-8388 / [email protected]

Anthony Trama, Bloomfield Auto Body973-748-2608 / [email protected]

Brian Vesley, Valtek, Inc.973-278-1444 / [email protected]

BOARD ALLIEDJoe Amato, The Amato Agency732-530-6740 / [email protected]

Mike Kaufmann, Advantage Dealer Services973-332-7014 / [email protected]

PAST PRESIDENT ATTENDINGTom Elder, Compact Kars609-259-6373 / [email protected]

CONTENTS

PUBLISHERThomas Greco ([email protected])MANAGING EDITOR/DIRECTOR OF SALESAlicia Figurelli ([email protected])EDITORJoel Gausten ([email protected])ART DIRECTORLea Velocci ([email protected])OFFICE MANAGERSofia Cabrera ([email protected])CONTRIBUTING EDITORSCharles Bryant Tom Greco Jeff McDowellMitch Portnoi Dave Laganella Ron Ananian

Published by: Thomas Greco Publishing, Inc.244 Chestnut Street, Suite 202, Nutley, NJ07110Corporate: (973) 667-6922 / FAX: (973) 235-1963

www.grecopublishing.com

The Alliance of Automotive Service Providers/New Jersey

Ron AnanianJim Bowers

Charles BryantDon ChardGuy Citro

Ed DayDave Demarest

Tom Elder

Bob EverettThomas GrecoRich Johnson Wes KearneyNick KostakisJim KowalakJoe Lubrano

Michael LovulloSam Mikhail

Ron MucklowGeorge Petrask

Russ RobsonJerry RussomanoGeorge Threlfall

Cynthia TursiLee VetlandPaul VigilantRich WeberBrian Vesley

Glenn VillacariStan Wilson

HALL OF FAME


VENDOR SPOTLIGHT16 The Amato Agency: Unbeatable Value, Unsurpassed Support

NEWS22 CIC, SCRSAnnounce Big News in Detroit24 NJAs Montanez Among Presenters at SEMA2014

TECHNICAL FEATURE29 What the Future Holds For You by Larry Montanez III, CDA and Jeff Lange, PE

COVER STORY by Joel Gausten34 Tested? The Questionable Origin & Possible

Dangers of Used Suspension Parts

FEATURE40 Redefining Luxury: Lexus Gains a New Audience with the NX

by Joel Gausten

NO BRAKES by Ron Ananian44 In a Relationship

180BIz FEATURE by Rick White48 Groove or Rut?

THE LIST51 Whats Your Dream Car?

AUTOMOTIVE RECYCLERS OF NEW JERSEY58 Wharton Insurance Briefs

8 OUT OF BODY (AND MECHANICAL) EXPERIENCES10 PRESIDENTS MESSAGE

12 EXECUTIVE DIRECTORS MESSAGE62 NJA ADVERTISERS INDEX

NEW JERSEY AUTOMOTIVE is published monthly and is sent to AASP/NJ and ARANJ members free of charge. Subscriptions are $24 per year. NEW JERSEY AUTOMOTIVE is published by Thomas Greco Publishing Inc., 244 Chestnut St., Nutley, NJ 07110. The editorial contents of NEW JERSEY AUTOMOTIVEare copyright 2014 by Thomas Greco Publishing Inc. and may not be reproduced in any manner, either in whole or in part, without written permission fromthe publisher and/or editor. Articles in this publication do not necessarily reflect the opinions of Thomas Greco Publishing Inc. Image Credits: Cover and Page : thinkstock.com/olm26250; Page 14: thinkstockphoto.com/Zoran Zeremski Page 22: thinkstockphoto.com/serazetdinov; Page 29:thinkstockphoto.com/video-doctor; Page 44: thinkstockphoto.com/klarnetci

OUT OF BODY (AND MECHANICAL) EXPERIENCES

Drivers Testof Patience

A couple months ago, my wife turnedto me after reading my latest column andsaid, I finally figured out what all thesearticles are about. I asked her what shemeant. Theyre about getting old, shesaid. You hate getting old.

She may be right. Case in point: Lastweek I took my son - my youngest child,my little buddy - to get his drivers li-cense! Are you kidding me?! Wasnt it lastweek when he could barely wear thoseHeely roller blades??? Didnt he just fig-ure out how to ride a bike??? Now hesdriving a car??? Legally?!

Old? Nah. More like friggingancient.

But at least I got a story out of it,courtesy of our states wonderful MVC.Actually, I cant fully blame them. My in-surance company and my previously men-tioned Mrs. are also partial contributors.

Being born in August, my son is oneof the last in his class to get his license. Soits been a while since he had his behind-the-wheel training. We got him back intothe drivers seat on a steady basis in June,and it took him some time to get comfort-able behind the steering wheel. But he wasvery cautious and careful - a good sign for

an almost-17-year-old. Problem was, ofthe four cars in our family, the only carwith a handbrake is his sisters, and sinceshe is away at college and working, accessto her car was limited. The MVC insiststhat the car used in the drivers test has ahandbrake. I have no clue why, consider-ing the great majority of cars today donthave them. (What do families withouthandbrake vehicles do?)

A few days prior to the test, we spentan entire weekend practicing his weakestskill, which was parallel parking. By thetime the test came around, he was com-fortable and confident that he had it down


by Thomas Greco, Publisher

despite not being very familiar with hissisters car.

Before we left for the MVC, my wifemade sure we had all the necessary docu-ments to satisfy that cockamamie pointssystem they require: Permit, registration,insurance card, social security card, voterID (oops, subconscious slip) and, ofcourse, proof that I was over 21 (duh).

We got there early and were in-structed to get in line and wait for an in-structor to come over and begin the test.Surprisingly, it wasnt a long wait. As wesaw two women approach the car, we gotready. The first woman came over to meand said, Im a trainee, so please bearwith me as I go through this. Uh oh. Myson was nervous as it was. Now he wasgoing to have someone with him who wasjust as nervous, with a supervisor in theback seat? Talk about pressure!

But of course, it never got that far. Asthe supervisor looked our documents, shenoticed that the VIN numbers on the reg-istration and the insurance card didntmatch. My first chauvinistic thought was,

Im gonna kill my wife (of course,whenever something goes wrong, thatsalways my first thought). But then Ilooked at both documents. They were forthe same car. I said as much to the super-visor, and explained that it must have beena mistake by the insurance company.Sorry, you have to call them and get theright one. Well, can they email it to meso I can come back? Nope. We need theoriginal. Oh, and we also need the originalbirth certificate; not a copy. Aha! I knewit was my wifes fault somehow!

My son looked heartbroken. Like Isaid, he was one of the last of his class toget his license, and he was tired of seeingall his friends drive while he was stuck asa passenger. As we left the MVC, I toldhim to pull over. I called my office to seeif anyone had a car with a handbrake. Noluck. I called my wife and after thankingher for not giving us the correct birth cer-tificate, asked her if she knew anyonewith a handbrake. She mentioned that heraunts had one but the car was a 1995Toyota. At that point, I didnt care. My


continued on page 53

Thomas Greco Pub-lishing Inc., publishers ofNew Jersey Automotive,New England AutomotiveReport, Hammer & Dolly,AASP-MN News and Wis-consin Automotive News,has named Alicia FigurelliDirector of Sales.

Figurelli, the currentvice president of the com-pany, will be adding allsales responsibilities for

the companys publications as well as booth sales forAASP/NJs NORTHEAST Automotive Trade Showand the NORTHEAST Conference Journal. A graduateof Seton Hall University, Figurelli joined Greco Pub-lishing in 2003 as an editor before gradually movingup to managing editor. She was named vice presidentin 2009. A constant for over a decade, Figurelli is awell-known figure familiar with every facet of the in-dustry, bringing experience from editorial, administra-tion and management to go along with her salesabilities.

Alicia Figurelli can be contacted at (973) 667-6922 / (973) 235-1963 (fax) or via email [email protected]. To learn moreabout Greco Publishing, please visit www.grecopublishing.com.

Alicia Figurelli

Greco Publishing Names Alicia Figurelli Director of Sales

As I sat down to write this article, Idecided to check out the trade press to seeif there was anything new and exciting to

discuss with readers this month. And boy,is there: On August 19, Louisiana StateAttorney General Buddy Caldwell filed a

lawsuit against State Farm Auto Insur-ance, alleging a pattern of unsafe and de-ceptive practices regarding auto repairs.All I can say is, WOW. Here in the colli-sion repair industry, weve spent years -for some of us veterans, decades - debat-ing and fighting over the consequences ofsome insurers desire to cut costs and cor-ners. Some of us have taken our battles tothe courts. But now, an actual state is get-ting involved, and is addressing a numberof issues that have affected most (if notall) of us at one time or another. OEM ver-sus aftermarket parts, steering, cost-cut-tingthis suit has got it all. If you donothing else today, make sure you checkout this link and read more about the LAsuit: http://www.nola.com/politics/index.ssf/2014/08/attorney_general_buddy_caldwel_8.html. Will LA be the only state totake this approach, or will others followsuit? Well see. Either way, things areabout to get very interesting.

Closer to home, we at AASP/NJ arealso in the midst of some exciting activity.As I explained in last months message,we are getting very close to the deadlinefor NJ Auto Body License renewal. If youare reading this message and still have anyquestions about the process, stop whatyoure doing and call AASP/NJ ExecutiveDirector Charles Bryant at (732) 922-8909now. The deadline is at the end of thismonth; time is running out!

Also coming up is AASP/NJs AnnualMeeting in October. Stay tuned for eventflyers and information on our alwayshighly-anticipated event, which promisesto provide an interesting night of educa-tion, association updates and much more.Until then, I hope all our readers enjoythese last few weeks of summer, as webegin to gear up for what is sure to be abusy and profitable fall and winter season.

PRESIDENTS MESSAGE

Gearing Up for the Fall


by Jeff McDowell

NJA

In 2007, the NJ Department of Bank-ing and Insurance addressed the paint andmaterials issue through bulletin 07-20,cautioning insurers that traditional meth-ods used by insurers for paint and mate-rial allowances were inadequate, recessiveand resulted in estimates with insufficientallowances to restore vehicles to pre-acci-dent condition. The bulletin put insurerson notice that they must be able to justifytheir paint and material allowances.

Insurers cannot justify an allowance forpaint and materials based on dollar figureper paint hour, PERIOD!

Almost immediately after the bulletinwas issued, many insurers started to acceptthe use of paint material cost accountingprograms and base their allowances for thepaint material on the amount determinedby said programs. Other companies at-tempted to play games by offering tothrow the shops a bone by paying an ad-ditional dollar figure that they pulled out

of the sky instead of accepting the use of acalculator for the job. (We are only awareof two insurers that refused to accept theuse of a paint material cost accountingprogram right from the start.)

Some of the shops began to accept theminor extra amounts being offered bysome of these insurers; this lessened theeffect of the bulletin. Simultaneously,many of the same insurers attempted toconvince the NJDOBI that accepting theuse of the paint material cost accountingprograms would ultimately drive up thecost of insurance. Although this argumentwas ridiculous, it did influence the Depart-ment in certain cases to provide negativeanswers to shop owners who were com-plaining about an insurer failing to complywith the provisions of the bulletin. Natu-rally, this negative feedback caused certainshops to give up the fight and just acceptwhatever extra money the insurer waswilling to throw in on the claim. However,for the most part, the shops that were pay-ing attention to the Departments positionrequiring insurers to justify their al-lowance continued to fight with insurers toaccept the use of a valid paint materialcost accounting program.

As a result of the fight certain shopsput up, many insurers accept the use of avalid paint material cost accounting pro-gram to determine what they will pay forthe paint materials required to repair auto-mobiles today - and have since the NJ-DOBI bulletin first came out in 2007.AASP/NJ has tracked which insurers ac-cept the use of the paint material cost ac-

counting programs over the years andwhich insurers have rejected it. Whats in-teresting is that the same insurer that ac-cepts the use of a paint material costaccounting program in one area of thestate will often reject the use of the paintmaterial cost accounting program in an-other area of the state - and sometimes, theareas are only a few miles apart. Again, ifyou read the text of the bulletin, it makesit clear that an insurer must be able to jus-tify their allowance for paint material cost.Further, it is impossible to justify a dollarfigure per paint hour formula, due tovariables such as the extreme difference inprice for colors, e.g. white opposed to red.

CAUTIONIn recent weeks, AASP/NJ has been

receiving hotline calls informing us thatcertain insurers that have accepted the useof a paint material cost accounting pro-gram on a regular basis for years are nowattempting to stop use of the programs. In-stead, they are attempting to go back toproviding allowances based on the dollarfigure per paint hour formula. Thisstarted happening with one insurer andquickly changed to two or three attempt-ing to do the same thing. The argumentbeing made by the insurers is that theyhave raised their rates, since they pay perpaint hour for paint and materials by a dol-lar or two; now, they will no longer acceptthe use of a calculator or negotiate whenpresented with what the shop is charging(per their calculator). In other words, cer-tain insurers are now attempting to turn

EXECUTIVE DIRECTORS MESSAGE

by Charles Bryant


Consider Thisa Shot Acrossthe Bow!

back the hands of time.Following one particular insurers re-

fusal to accept the paint and materials cal-culator, the shop in question filed acomplaint with the NJDOBI. However, theDepartment responded by stating that the

investigation was complete, and unfortu-nately there was nothing the Departmentcould do. It appeared that the companysactions were in compliance with the policycontract, the applicable statutes and regu-lations. Further, the insurer in question had

apparently advised the Department thattheir estimating software calculates manu-facture replacement, labor and refinishtimes. Since this is recognized within theindustry, the letter explained, there wasvery little the Department could do, unlesssubstantial evidence was provided to sup-port the shops viewpoint.

This response infuriated me, since Imthe one who suggested the shop make thecomplaint in hopes of receiving some as-sistance in the resolution of this matter.What got me was the Departments claimthat their investigation was complete. In-stead, it appears blatantly obvious that theonly investigation that took place was toask the insurer if they did anything wrongor not. Obviously, the insurers answer tothe complaint led the Department to be-lieve that what they did was a validmethod of justifying their allowance. Inmy opinion, the opposite is true.

I personally contacted the investigatorthat responded to this complaint directly tovoice my opinion. In hindsight, the con-versation did not get off on the right foot.Since I was met with immediate resis-tance, I guess I may have raised my voiceto avoid being talked over. The investiga-tor informed me if I didnt change my atti-tude and lower my voice he was going toterminate the conversation. (I cant saythat I blame him, given my initial tone.) Iapologized for my tone and explained myposition, how certain insurers that hadbeen accepting a paint material cost ac-counting program for years were nowlooking to go backwards and start usingthe old method of calculating allowancesfor paint materials. I reminded the investi-gator what the 2007 bulletin was based on.I must say that the investigator was a gen-tleman, and listened carefully as I ex-plained the problem in detail as well as myfrustration.

Eventually, the investigator told methat they very rarely receive a complainthaving to do with a dispute on the cost of


EXECUTIVE DIRECTORS MESSAGE


A true industry institution, the Amato Agency serves numer-ous crucial roles in the success of collision repair shops in theGarden State. They are (among other things) dues-paying mem-bers of AASP/NJ, advertisers in this publication, promoters of as-sociation events and benefit providers for fellow members.Currently serving at least 30 percent of the AASP/NJ member-ship, the Amato Agency has established a solid relationship withthe auto body field that is second to none.

An independent insurance agency located in Neptune, theAmato Agency specializes in securing affordable insurance forthe independent business owner. The companys special safetygroup program provides annual dividend checks to participatingshops if the groups total loss ratio is better than anticipated bythe insurance companies at the time of premium development.The less claims the group files, the more money the group willmake. And when the end of the year rolls around, that moneygoes right back into the pockets of the body shops. From 2007 to2011, the program generated $536,853 in funds returned toAASP/NJ members. Although Hurricanes Irene and Sandy pre-vented the paying out of dividends in recent years, the companywith whom the Amato Agency wrote the program was the onlyinsurer in the industry to cover the full loss of income for shopsthat experienced electrical failure from wind. This equalled mil-lions of dollars in protection to participating shops when theyneeded it most. Recently, the Amato Agency added a new work-ers compensation program that offers exclusive upfront dis-counts and dividends only for AASP/NJ members. Additionally,the Amato Agency offers personalized automobile and homeown-ers insurance programs for employees of association members atgroup discounts.

With the Amato Agencys services and reputation at an all-time high, it comes as little surprise that the company has addedtwo new offices in the past year. The agencys new location on

Oak Tree Road in South Plainfield wasestablished as a result of the addition ofthe Indian Business Association, theAsian American Retailers Association(AARA), the Indo American Pharma-ceuticals Society and the North Ameri-can Retail Hardware Association(NRHA) to their client base. The new Toms River location offersinsurance through Farmers, the third-largest writer of personallines in the United States. Combined with the Neptune location,the Amato Agency has easily become one of the most extensiveservice providers of their kind in the entire state.

At a time when shops throughout New Jersey are working tofulfill their annual Auto Body License renewals, the AmatoAgency is working hard to ensure that association members havethe insurance coverage they need to stay in compliance.

We work hand in hand with AASP/NJ to make sure that ev-erybodys certificates are issued on time, are accurate and aresent in properly so that the license renewals can go through, of-fers Amato Agency President Joe Amato Sr. Were not just in-surance agents for the association, were partners with theassociation.

The Amato Agencys longstanding relationship withAASP/NJ extends to regular support of New Jersey Automotiveand ongoing participation in the NORTHEAST AutomotiveServices Show and the annual Golf Outing. Not only does thecompany lend a helping hand through sponsorship and advertisersupport, but they literally put money in shops accounts throughtheir dividend programs and cost-saving opportunities.

With a celebrated history that is sure to grow, the AmatoAgency looks forward to working with the AASP/NJ communityfor years to come. For those readers who might be new to what


VENDOR SPOTLIGHT

The Amato Agency UNBEATABLE VALUE, UNSURPASSED SUPPORT


One of the many ways the Amato Agency supports AASP/NJ and its membership is through longtime participation in the NORTHEAST Automotive Services Show.


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NEWS

In late July, the Society of CollisionRepair Specialists (SCRS) and the Colli-sion Industry Conference (CIC) heldevents in Detroit that offered insight intothe future direction of both entities.

Avery Out, Stabler in at CICWith 2014 coming to a close, CIC

will soon welcome a new chairperson tolead the group into the future. At the July29 CIC in Detroit, it was announced thatthe past chairs selected longtime Califor-nia collision repair professional and CICparticipant Randy Stabler (Pride CollisionCenters) to lead the group for a two-yearterm beginning in 2015. He will replace

George Avery of State Farm, who will endhis term after the November 6 CIC meet-ing in Las Vegas. Stabler is the co-founderof Pride Collision Centers, a multimillion-dollar collision repair company launchedin 1983 that currently boasts six locationsin Southern California. He is expected tomake his first public address before theCIC body at the November meeting.

SCRS Offers Media Outreach, Rental Research Update

In an ongoing effort to better informand protect the motoring public, variousindustry groups have developed mediacampaigns in recent years to draw atten-tion to critical issues. This is especiallytrue of the Society of Collision RepairSpecialists (SCRS), which used its OpenMeeting on July 28 to outline many of itsrecent activities in the public arena. SCRScontinues to be used as a resource by anumber of national media outlets lookingto learn more about the issues surroundingthe collision repair industry and its workwith insurers. In response to these ongoingrequests, the association developed amedia statement that SCRS Executive Di-rector Aaron Schulenburg says accuratelyand comprehensively characterized themindset of many of the repairers out theretoday who are really trying to do qualityrepair work [under] the pressures that existin our marketplace. The statement readsas follows:

The governments pressure on automakers

to reduce emissions is going to continue toimpact vehicle design, and increase theprevalence of an expansive list of lighter-weight materials and advanced technol-ogy. This continual evolution inautomotive architecture intends to producesafer, lighter, more efficient vehicles, andinherently requires increasing amounts ofskill to repair. It is absolutely the indus-trys obligation to react, equip our busi-nesses and train our technicians to meetthe demands of our changing fleet. Thegood news is that [through] efforts fromindustry organizations such as the Societyof Collision Repair Specialists (SCRS),I-CAR and others, the collision repair in-dustry has increasingly more robust accessto information from the automakers onthe proper repair methods that shouldbe used, the necessary equipment andthe hazards of using certain parts orunaccepted procedures. As our industryinvests in this highly sophisticated

Randy Stabler (Pride Collision Centers,Greater Los Angeles, CA) will be takingthe reins as CIC Chairman following the

events November installment.

SCRS Executive Director Aaron Schulenburg detailed his group's

recent actions on behalf of the industryand motoring public.

CIC, SCRS Announce

Big Newsin Detroit



equipment and intensive, specialized train-ing that are both often make and modelspecific, the costs of such investments haveto be recovered. The biggest challengefacing repairers isnt capability, but ratherthe downward pressure placed on repairbusinesses to do more, and invest more,perform faster and to do so for a lesser re-turn.

Interestingly, in the United Kingdom (UK),the UK Competition Commission issued asummary of findings after analyzing theinteraction between the insurance and col-lision repair market. They came to a con-clusion that many repairers in the UnitedStates have known for a long time; themarket is not working well.

In fact, they specified that the market isnot working well because competitionbetween repairers to obtain business frominsurers is focused on low cost rather thanhigh quality of repair; that is, repairers areinsufficiently rewarded for offering a highquality of repair.

The businesses that perform collision re-pairs are highly skilled professionals, whooften have differentiating characteristicsrelative to particular levels of expertise,certification, training, equipment, capacityand quality of workmanship. In a well-functioning market, those with lesser skill,lesser capability and lesser quality wouldbe incentivized to improve because thosewho perform better would receive appro-priately higher degrees of compensationbased on skill and competition. Con-sumers would seemingly seek out thosewith the best skill set available to them,further ensuring their vehicle is safely re-paired, and providing those leading re-pairers with greater market share.Unfortunately, insurers often refuse to

recognize these gradations in terms ofcompensation, and in a desire to com-moditize repairs, it is common that theirindemnification practices reflect pricesthat are substantiated by the lowest com-mon denominators in the market.

There are both good and bad marketrepresentatives in the collision repair busi-ness, just as there are in every trade andprofession. Ultimately, if the consumermarket demands from their insurance car-rier to cease the practice of indemnifyinglosses based on low cost principles, ratherthan high quality expectations, the marketshift would provide necessary incentive formore of the industry to focus on qualityadherence and consumer experience. Forthose looking to save the largest percent-age in the shortest period of time whenshopping for auto insurance, it is impor-tant to remember that not every policy hasthe same coverage, and not every repair iscreated equally.

The association also provided the fol-lowing suggestions for media to offer toconsumers on qualities they can look forin a collision repair facility:

Willingness from staff to explain the pro-cess, the details and educate you on howyour vehicle will be repaired and how theprocess will be handled.

Certifications from automakers or orga-nizations like the National Institute for Au-tomotive Service Excellence (ASE) whotest and certify for competency.

Current proof of training from automak-ers or industry training organizations suchas I-CAR.

Ask about the equipment they use. Every

vehicle is different, and many require spe-cialized equipment just to repair that makeor model. A knowledgeable repair facilityshould be able to explain the differencesand explain the types of equipment theyhave to address your repair needs.

While involvement in associations doesnot always assure quality, it does suggestthat the business is forward thinking andengaged in their trade. Look for distinc-tions like this that differentiate the shop ofyour choice from others.

In other news, SCRS has focused con-siderable attention on the issues surround-ing the average length of car rentals duringthe repair process, and how utilizing unre-alistic expectations or faulty multipliers todetermine this amount of time impactsconsumer experience. Since the previousOpen Meeting in April, SCRS has workedwith the Information Providers as well as avariety of vendors including EnterpriseRent-A-Car and Hertz in looking at thedata available regarding the average lengthof rental and comparing these figures tothe average hours per claim. Based on thisresearch, SCRS Executive Director AaronSchulenburg stated that it was the associa-tions impression that the average of ac-tual time spent in rentals is a bit differentthan the expectations that are asked of theshop. The association recently released aspecial educational research project(http://archive.constantcontact.com/fs161/1101307009687/archive/1117246772024.html) to illustrate their concerns.

More information on SCRS is avail-able at www.scrs.com.

NJA


NEWS

One of the most popular events in todays collision re-pair industry, the annual SEMA Show will returnNovember 4-7 to the Las Vegas Convention Center inLas Vegas, NV. For a fifth year, the Society of Collision RepairSpecialists (SCRS) will be at the Show to host a series of specialRepairer Driven Education (RDE) courses designed to provide at-tendees with information to successfully navigate an ever-chang-ing profession. AASP National will serve as a sponsor of thisyears RDE festivities.

Regular New Jersey Automotive contributor Larry Montanez(P&L Consultants) is among the special presenters at this yearsShow, offering two cant-miss courses that will help educate at-tendees on appropriate repair practices in the industry. OnNovember 4, he will present Aluminum Repair Procedures,Techniques & Requirements, which will cover cosmetic andstructural repair techniques and procedures for aluminum compo-nents. Topics discussed include outer panel repair and reshaping,structural component replacement, attachment and replacementmethods, tools and equipment, precautions, welding and rivet-bonding. Additionally, the course will cover the costs of invest-ment in becoming an aluminum repair facility. MontanezsNovember 6 program, Check Yourself - Departmental QualityControl to Prevent Incorrect Repairs, is designed to cover com-monly missed or discovered procedures during post-repair in-spections that cause corrective and/or re-repairs. After thispresentation, attendees should have a better understanding of howto implement standard operating procedures (SOPs) per depart-ment to ensure proper repairs, correct an incorrect repair before itbecomes a problem and prevent incorrect repairs in the future. Allattendees will receive a copy of P&Ls commonly forgottenitems in each department.

This years impressive list of RDE presenters also includes(among many others) California-based instructor Toby Chess,Mike Anderson of CollisionAdvice, Tim Ronak of AkzoNobeland Kristen Felder of Collision Hub.

SCRS RDE event schedule at SEMA will also feature thefirst-ever OEM Collision Repair Technology Summit on Wednes-day, November 5. The Summit is a completely unique networkingand learning opportunity designed to put SEMA show attendeesin a room with a content-rich agenda focused on emerging trendsand evolution in vehicle design, construction and technology as itrelates to the collision repair environment. The format, featuringelevated discussions surrounding shop-floor issues, will includehigh-level speakers, panel discussions, breakout sessions, hands-on technology displays and organized interaction with OEM rep-resentatives and others with direct impact on vehicular changesrelative to collision repair. This event will give attendees great in-sight into current and future requirements necessary to maintainpace with the automakers in their repair business and operate in ahighly competitive marketplace.

SCRS Executive Director Aaron Schulenburg is pleased toreport larger-than-expected registration figures and an increase inthe number of collision repair vendors signing up to be a part ofthe festivities. This includes not only new names to the exhibitionarea, but also newly expanded footprints by scores of previousvendors.

The numbers continue to go up every year, and I think thatdemonstrates the way this content hits home with repairers, hesays. We have a great partner in SEMA; they really share the vi-sion we have for delivering a home for the collision industry atthis event.

Schulenburg and the SCRS Board are particularly excited tobring the OEM Collision Repair Technology Summit to membersof the national auto body community.

Its really going to be a unique event that gives some of themost robust information surrounding technology, vehicle designand the things that shop owners need to be prepared for goinginto 2015 and the future ahead of them, he says.

For registration information and a complete listing of RDEevents, please visit www.semashow.com/scrs.

NJAS MONTANEZAmong Presentersat SEMA 2014

The numbers continue to go up every year, and Ithink that demonstrates the way this content hits home with

repairers, Schulenburg says. We have a great partner in SEMA; they really share the vision we have for delivering a home for

the collision industry at this event.


TECHNICAL FEATURE

Wow.So far this year, we have heard of car-

bon-fiber-reinforced plastic (CFRP) vehi-cles (BMW i3) and a mass-producedaluminum truck (2015 Ford F-150). Butwhat does the future hold for the collisionrepair industry? This months article con-tains a recap of the known information andfacts, some predictions and even a fewmyths we'd like to dispel.

NEW MATERIALSFact: Modern vehicles are not only engi-neering wonders, but they are loaded withcreature comforts and are rolling, electron-ically-controlled masterpieces. And this isjust a taste of what is to come.

Prediction: In the next five to sevenyears, we will see newer, more advancedhigh-strength steels (ADHSS), CFRP withnanotechnology, semi-autonomous vehi-

cles, equipment changes and advancedtraining requirements.

Myth: Todays vehicles can be repairedboth quickly and properly. FALSE!Todays vehicles require skill, training andproper equipment to ensure that the re-pairer is adhering to proper proceduresand protocols. On too many occasions, wesee unrealistic repair times (commonly re-ferred to as cycle time), generally basedon rental day calculations without takinginto consideration the actual skill level re-quired to perform proper repairs. Remem-ber: Just because youve been doing it acertain way for a period of years does notmean it is right.

ALUMINUMFact: Aluminum construction is movinginto mainstream vehicles. Over the pastfew years, we have seen mass-produced

vehicles with aluminum outer panels andclosure panels. Infiniti and many otherOEMs are offering their vehicles with alu-minum door assemblies and hood panels.The Nissan Altima now has an aluminumhood, decklid and roof panel. Ford hasbeen making headlines over the 2015F-150. GM has also announced plans tooffer a 1500 Series pickup by 2018 thatwill be aluminum-intensive.

Prediction: Ford Mustang, Fusion andExpedition will be next to go aluminum.GM will roll out the 1500 Series pickupand SUV lines soon. After that, we predicta couple of Cadillac models. Chrysler maywait on the sidelines for a while, but lookfor the Ram to be the first to go with alu-minum. Mercedes-Benz already offers theAMG SLS and the SL as aluminum-inten-sive; this year, the S Class went aluminumin the front structure. And we already

by Larry Montanez III, CDA & Jeff Lange, PE

WHAT THE FUTUREHOLDS FOR YOU


TECHNICAL FEATURE

know all Benz vehicles will be designed with aluminum frontstructures by 2020.

Myth: Aluminum repair is easy and no big deal. FALSE! Alu-minum repair is not difficult if the technician has the proper train-ing and lots of practice. Aluminum repair is very different fromsteel; surprisingly, most aluminum damage is not repairable. Andwe are just talking about outer panels, as structural aluminumcomponents are not repairable and structural realignment is gen-erally prohibited.

EQUIPMENTFact: Equipment upgrades and changes are part of the industry,but in the past three years, many OEMs have been making re-quirements to specific equipment for repairs to their vehicles.Celette has been the leader for structural repair for many years asthe most approved equipment for many of the European vehicles.But in recent years, they have been making fixtures for domesticand Asian models. Not too long ago, Doug Craig from Chryslermade a video on the importance of additional anchoring on someChrysler and Jeep models. CarBench has been the approvedequipment supplier for Ferrari and Lamborghini for many yearsand, in the past few years, has received approval from many ofthe European automakers. Rounding out the top three is Car-O-Liner, with approval for most of the European models (exceptMercedes-Benz USA). If your structural repair equipment wasnot purchased in the past three to five years, you may not be ableto repair most of todays vehicles properly or, for that matter,any of them.

Prediction: Shop closures are inevitable as the requirementsand costs to repair the new advanced vehicles rise. We feel wewill see about a 20-percent drop in registered repair facilities inthe next decade, with some MSOs, DRPs and OEM-certified re-pair facilities surviving the costs of training and re-tooling. Train-ing, certification (ISO, ASE) and an attitude to want to learn andchange are, and will be, must-have traits to be successful. Ouradvice is to start preparing, investing and training now or be leftsitting on the sidelines.

Myth: Here is something we hear all the time: My frameequipment from 20 years ago is still good and my techs knowwhat they are doing. You are in denial. Many techs and damageassessors have a multitude of excuses for why they don't train andget educated to adapt to the new repair procedures. Repair facilityowners need to hold people including themselves accountable.

HAND TOOLS AND CONSUMABLESFact: Hand tools, cutting tools and other consumables will needto change as the materials used in vehicle construction becomemore advanced. There are about four different strengths of spotweld drill bits available for the different types of steels. Most willlast 300 to 700 welds, provided the tech uses the proper speed(RPM) drill and lubricates the area. Bits used for aluminum will

last even longer than 700 spot welds due to aluminum's softness.Conversely, boron alloyed drill bits will only last 90 to 125 spotwelds, and those bits can range between $75 to $125 per bit. Insome cases, you will need two to three bits depending on theamount of spot welds and/or drill holes you will need to drill onboron alloyed or hot stamped steel.

When removing damaged panels for replacement, the techmust be careful not to cause damage to the inner reinforcementsor inner panel (steel and/or aluminum). Techs must use care todrill only the outer panel and then use a panel separator with ahammer. Air chisels are a thing of the past and should not even bein a modern repair facility. Dressing welds should be attemptedwith quarter-inch thick grinding stones and not cut-off wheels.24/36-grit is another antiquated product; after the grinding stone,the tech should continue to dress the area with 50-grit or a beltsander and progress to 80- and 100-grit and/or a Roloc Bristle. Insome cases, a Dremel tool will be needed. Shockingly, most techsneed a class on how to dress welded areas properly.

Prediction: Techs will need to invest in their hand tools, andshop owners will need to purchase newer consumables. Remem-ber: Everyone is watching the quality of repairs. There are arti-cles and videos all over the Internet on post-repair inspection,diminished value and lawsuits about poor repairs. The consumeris asking for this, and the people who are looking are often ex-perts. If you dont raise your quality, you will see more and moreissues with the quality of repairs. This could directly affect youand your business.

In general, if your equipment has not been purchased withinthe past five years, your techs have not been to some kind oftraining in five years or your techs have never been tested onwelding and everything we mentioned above is foreign and unbe-lievable, then you may need assistance in deciding what you wantto do for a living in the future.

We hope this article has helped the industry to better under-stand what the future holds. Remember that todays advancedconstruction and material vehicles will not let you repair them in-correctly. Improper repairs will break and fail if repaired incor-rectly. Be proactive; protect yourself through education andtraining.

Feel free to contact us if you have any questions.

Larry Montanez, CDA is co-owner of P&L Consultants with Peter Pratti Jr. P&LConsultants works with collision repair shops on estimating, production and properrepair procedures. P&L conducts repair workshops on MIG & resistance welding,measuring for estimating and advanced estimating skills. P&L also conducts inves-tigations for insurers and repair shops for improper repairs, collision repairabilityand estimating issues. P&L can be reached by contacting Larry at (718) 891-4018(office), (917) 8603588 (cell), (718) 6462733 (fax) or via email at [email protected]. The P&L website is www.PnLEstimology.com.

Jeff Lange, PE is president of Lange Technical Services, Ltd. of Deer Park, NY. Jeffis a Licensed New York State Professional Engineer who specializes in investigatingvehicle and component failures. Lange Technical Services, Ltd. is an investigativeengineering firm performing forensic vehicle examinations and analysis for accidentreconstruction, products liability and insurance issues. Jeff can be reached at(631) 667-6128 or by email at [email protected]. The Lange TechnicalServices, Ltd. website is www.LangeTech.net.

NJA


COVER STORY by Joel Gausten

TESTED?The Questionable Origin & PossibleDangers of Used Suspension Parts


In todays media-saturated world, itsvirtually impossible to turn on your televisionor watch a video on the Internet and not comein contact with a commercial for an insurancecompany. Often humorous and light-hearted,these ads feature fictional characters whomake potential customers feel safe and securein selecting that insurer to cover their losses inthe event of an auto accident. But as repairshops in New Jersey and beyond have learnedthe hard way, some insurers abandon thisspirit of fun the moment it comes time tonegotiate for the proper repair of a claim.

As a way to reduce their expenditure in theauto repair process, some insurers have beenknown to push shops to work with used suspensionparts. Although there is a perceived savings withthese parts, many shops argue that these usedcomponents contain hairline fractures and otherdamages that could prove detrimental to therepaired vehicle and the drivers safety downthe road. At a time when shops are working harderthan ever to receive fair compensation for the workthey perform, repairers in the Garden State arebeing pressured to utilize suspicious parts thatcould put them not the insurer in legal jeopardy.

Unfortunately, this dilemma recently hit homefor one high-end shop when a customer showed upwith a rear hit to his BMW. The adjuster for theinsurer wrote for a used suspension and soonlocated a lower control arm in New York. It didnttake long for the shop owner to discover that thepart he received which arrived with a tag markedTested by the used parts supplier was far fromreliable.

I dont know how they Magnafluxed it whenthe back half of the lower control arm is hammeredflat with a hammer, he tells New JerseyAutomotive. You can see where somebody took itoff with a balljoint fork and removed it, becausethey bent the flange. This is the part they tested?Who accepts the liability?

The worst part is that were buying this stuff,and we do not know where it came from, he adds.At least an odometer tells you that a vehicle has60,000 miles, so you know it has some life left init. But we know nothing with this part. Its a wearitem, number one. Number two, we dont how

many miles the [donor] vehicle had. That car couldhave been abused; it could have been in the streetsof New York with potholes. We also dont know ifthis was a saltwater car; theres a possibility it hadan accident on that side. We dont know, but theywant us to buy this stuff because theres a costsavings.

Luckily, the shop was able to request the VINthat came with the part and was soon able todiscover that the donor car had in fact been hit inthe rear a fact the shop owner later shared withhis customer.

The AASP/NJ member then requested that theinsurance adjuster sign off on the part and state thatit was not going to fail once it was placed in thevehicle. The adjuster refused this request, optinginstead to have an OEM part installed. The pricedifference between a new lower control arm andthe unacceptable tested used part?Approximately $20. Is that worth this muchaggravation to both the shop and the vehicleowner? Perhaps it is if youre an insurer writingthousands of cars a day, but for a body shop thatcant take the legal risk if that part fails, its nothingbut a massive headache.

I have to wait for a credit because I wrote acheck for this part, says the shop owner. Ivewasted an hour on the phone with the consumer,and Ive wasted half an hour with the adjuster. Iveheld up my money and lost credibility with mycustomer, because Ive delayed this car an extrathree and a half days. In the meantime, the insurercalls me and asks if I would pick up the three daysof rental because I delayed the vehicle! In the nameof cost containment, theyre putting a part in thecar when they dont know its history. It shouldnever be sold in its present form. Whats next?Airbags?

Before anyone reading this starts to think,Well, thats what he asked for as a referral shop,it must be noted that this shop has absolutely noDRP relationship with the insurer involved in thismatter. If you need an example of how DRPconditions affect the greater collision repairindustry, this would be it.

The shop owner strongly suggests that hisfellow AASP/NJ members take matters into theirown hands if they are having difficulty getting a

COVER STORY


straight answer on the origin of aparticular part.

If youre being forced to use asuspension part, make sure theres a VINon the tag and run that tag throughCarfax, he says.

Not surprisingly, stories like theabove are a source of frustration forAASP/NJ Executive Director CharlesBryant. After years of seeing good shopowners do everything necessary to build areputable business only to have insurerspressure them to use a part that the shopcant guarantee, he feels that it is time forshops to finally understand an insurerstrue place in a non-DRP repair. For onething, insurance companies do not havethe right to dictate how the cars going tobe repaired unless they choose the optionof repairing the property.

If they want to control the repair,they have every right to do so, he says.If they [choose that option], they have tolimit those repairs to one particular shop,and then they have the right to go to thatshop, become the contractor and dictatehow the car is going to get repaired, andwhat theyre going to pay for LaborRates...If they dont do that, then its up tothe owner of the car to contract with ashop, who says [to the insurer], No, Imnot going to do your nonsense of usingaftermarket parts that are subject to fail;Im not going to use used suspensionthats subject to fail. Im going to fix thecar correctly.

Bryant says that insurers in theGarden State have one of three options insettling a claim: 1. They can repair thevehicle, which means physically taking itand repairing it themselves or havingsomeone else perform the work, 2. Theycan replace the property by giving thecustomer the value in money if the car isa total loss or find an exact replacementor 3. They can settle the claim in money.

The first [option] gives them theright to control how its going to get

done, he explains. They dont choosethat because then theyre liable rightalong with the shop that did therepairs...Instead, they choose the optionto settle the claim in money, and thenthey come in and act as if they chose theoption to repair the property. They try todictate to the shops [and say], Thats allwere paying. Thats not all yourepaying! You didnt choose the option toallow you the right to dictate all yourepaying. Youre paying what it takes to fixthe car, as long as its reasonable.Period.

Reasonable is an important word inthis discussion. Is it reasonable forshops to be made to use parts that theycant guarantee? Is it reasonable for aused parts supplier to put a tested tagon a part that looks like its been througha war? Interestingly, the debate over usedsuspension parts is no longer a case ofpreaching solely to the industry choir, asthe mainstream media has also beenfollowing the issue. As Yahoo writer J.H.Kim explained in a 2010 article entitled,Junkyard Car Parts: When is it a BadIdea?:

Oftentimes, used car parts will morethan suffice for an auto repair job. Butin some cases, your efforts to savemoney by using a junkyard car part maybe done in vain as the repair does notgo as planned. In these situations, youmay very well end up spending moremoney than if you had started theentire process with a new car part andworse, it could potentially put you andother drivers in danger. Avoid thesesituations by considering the followinglist of when not to use junkyard carparts:

Replacing brake system-relatedparts (including but not limited topads, rotors, calipers)

Replacing airbags

Replacing axles and suspension-related parts

Replacing alternator

In the list above, the first three arerelated to safety in that a fault in any ofthese components could be hazardousto you, the driver and to others on theroad with you.

In related news, the issue of unsaferepairs reached new heights in publicawareness in July, when NationwideInsurance was ordered to pay $21 million(including punitive damages andattorneys fees) in an 18-year legal battlein Pennsylvania where a driver sued theinsurer after her vehicle receiveddefective repairs all the way back in1996.

On the plus side, Bryant notes thatthe number of complaints he has receivedfrom members regarding forced usedsuspension parts has decreased in recenttimes. One shop owner recently told himthat he flatly refused to use the parts andinstead utilized (and invoiced for) newparts and received full payment fromthe insurer.

Its a matter of standing up, Bryantsays. Its also a matter of understandingthat if you go along with it just becausesomebody said to do something, itdoesnt relieve you of liability.

It didnt take long to discover that the part which arrived with a tag marked tested bythe parts suppliuer was far from reliable.

NJA


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FEATURE

In late July, New Jersey Automotivewas among the select media outlets invitedto Nashville, TN for a special preview ofthe all-new Lexus NX. Inspired by perfor-mance vehicles, the 2015 NX unites theengineering input of racers with the im-peccable touch of Lexus luxury in a designthat steals the show.

The 2015 Lexus NX debuts with theNX 200t (which boasts a turbocharged2.0-liter four-cylinder engine) and the NX300h hybrid (which offers a real drivingkick, thanks to a new transmission with akickdown function). In addition to offer-ing an aggressive grille and front lowerbumper, the NX F SPORT package fea-tures Active Sound Control to enhance theauditory experience and adjust engine note

volume in the cabin. Special wheels, blackexterior mirrors, exclusive interior trimand front sport seats round out thepackage.

Considering Lexus attention to detailand design, it comes as little surprise thatthe NX has been created with safety inmind. Frontal and side collision protectionmeasures include the use of high-tensilesteel up to 142,000 psi in key areas, in-cluding the center-pillar hinge reinforce-ment, outer rockers and roofcrossmembers. In a collision, energy froma side impact is transmitted to the floorthrough a structure of cross-members builtinto the rocker beneath the center B-pillar.The rear impact structure disperses offsetcollision energy to the main chassis mem-

bers on both sides of the vehicle.A comprehensive roof impact-resis-

tance structure disperses load when theroof is impacted, minimizing cabin distor-tion. The structure includes front pillar re-inforcement and high-strength steelreinforcements for the center pillar, aswell as reinforcement around the seatbeltanchor and front header. Lexus Whiplash-Injury Lessening front seats are fitted toall models, and the NX has energy-absorb-ing structures in the pillars and roof head-liner. There are impact-absorbing pads inthe front and rear door trim adjacent to theoccupants lumbar region.

The Lexus NX models have eightSRS airbags including a dual stagedrivers airbag and knee airbag, dual-stageand dual-chamber front passenger airbag,front side airbags and full-length side cur-tain airbags and offer the availableLexus Pre-Collision Safety System (PCS).Available Lane Departure Alert warns thedriver when it determines that the vehicleis about to veer from a traffic lane. A cam-era mounted to the windshield recognizeslane markings. It sounds a warning andprovides a visual representation on theMulti-Information Display screen if thevehicle is veering from its lane. The sys-tem works in rain and on roads where thelane is marked on one side only. Intelli-gent High-beam uses the same windshield-mounted camera. When the driver turnsthe high beam on, it will switch to lowbeam to help prevent blinding otherdrivers and restore high beam when thereare no vehicles ahead are detected. Thesystem can also dim the high beams whenit detects bright streetlights. When condi-tions permit, the high beams will automat-ically resume.

The NXs Pre-Collision System (PCS)uses the all-speed Adaptive Cruise Controlsystems millimeter-wavelength radar sen-sor to detect vehicles and other obstacles.A buzzer and a light help warn the driverof impending collision. The system can

Redefining Luxury: Lexus Gains a New Audience with the NX


increase the drivers braking effort, and acti-vate Pre-Collision Brake if the driver doesntapply the brake. The system can also bringthe NX to a full stop. Pre-Collision Brakedeceleration works from a maximum speedof 37 mph.

Striking an intriguing balance betweensporty and refined, the Lexus NX has beendesigned to appeal to new Lexus owners intheir thirties and forties. Although an officialMSRP was not revealed at the press event,the NX is expected to hit the market laterthis year at under $40,000.

After taking various NX prototypes fortest drives through Music City, New JerseyAutomotive Editor Joel Gausten is confidentthat Lexus has another major hit on theirhands.

The NX effortlessly achieves Lexusgoal of offering an exciting vehicle for anever-growing demographic young profes-sionals who seek an attractive balance be-tween traditional luxury and the practicaldemands of parenthood, he says. Lexushopes to sell around 36,000 of these vehiclesin 2015. Considering all that this vehicle hasto offer, I suspect the sales will be muchgreater. The NX is a perfect choice for a seg-ment of the market that has been waiting toolong for a great car like this. Is it possible tobe conservative and exciting at the sametime? The NX answers that question with aresounding yes!

The NX preview event featured an intimate performance byNashville music stars Brett James (left) and Tim Nichols.

Owen Peacock, national product marketingmanager for Lexus, introduces the new NXat a special press event in Nashville, TN.

NJA

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Til next time, Im Ron Ananian, The Car Doctor, reminding you thatGood Mechanics Arent Expensive; Theyre Priceless.Ron Ananian, owner of R\A Automotive in Waldwick, NJ (est. 1978), is heard weekly in 140 marketson his nationally syndicated radio talk show. He is a working technician and former AASP/NJ Board member. Beyond his radio show, Ron writes and speaks for the automotive industry at trade showsand events. Visit The Car Doctor online at www.cardoctorshow.com.

Welcome to my world this month; thanks for stopping by. If you area little bit older (and it seems like we are all getting some gray),you notice the cycles of business in all areas. One month, youreso busy that gross sales rise 20 percent; the next month, yousomehow have time to paint the lifts and the floor. The cycle ofbusiness - or, more appropriately, the swings and moods of it -change constantly. One of the key weapons to fight the swing isutilizing the relationships you have with employees, clients, ven-dors and the technology we deal with daily. Recognizing the rela-tionships you are cultivating can help you realize that you areachieving goals, even if the gross dollars are off.

NO BRAKES by Ron Ananian

In a Relationship

As I sat down to write this months column, I couldnt get ittogether in my head untilwell, read till the end and youll seewhat my inspiration was. Im not sure why, but this has been aquiet summer; one of the quietest I can recall, as a matter of fact.Since Fourth of July, it seems like everyone has gone on vacation;our business has slowed down some, and going by the chatter Ihear, we are not in the boat alone. From my dealer contacts tothose in the independent marketplace, there are not many reportinggrowth. Some tell me they are making numbers, but to do so theyhave to either spend more on advertising OR give it away cheaperthan they can afford to. But it beats standing around, they say.

I have spent the summer working on other projects, lookingaround at the shop and its appearance, throwing out things in cabi-nets that are old and outdated, moving tools from the front line ofmy tool box into storage on a shelf in case we need them (the car-buretor adjustment tools for GM feedback controls are no longersuch a hot item). My ASE sign on the front of the building wasfaded and weathered (you would be too, after over 30 years) andthe front office carpet needed to be updated. In order to be in a re-lationship, it is important to make good impressions. When it pays,off you realize the value of your effort.

We had a new customer this week who came along fromQueens Village, NY (about 90 minutes away). He requested fourtires, a front end inspection and wheel alignment. As the sayinggoes, nice work if you can get it! The repair went off without ahitch; it was very straightforward and successful. We noted that hewas coming due for front brakes in the Fall, and in general, the155,000-mile, 17-year-old Nissan was in pretty good shape. Thereal success of the job came today, in the form of an email I re-ceived from the customer. It reminded me that the relationship isstill the key. Im clipping it for brevity, but the gist of Edwardsnote reads as follows:

Id like to thank you very much for the wonderful first-timeexperience at your shop yesterday getting new tires on my

1998 Nissan Maxima, alignment, and front end inspection.From one hard-working small business owner to another, Icouldnt have been more impressed with your shop, your workand your co-workers. After four years of listening to the CarDoctor on the radio and greatly increasing the little knowl-edge of cars that I had by at least tenfold, I was amazed athow honest, down to earth and detailed-oriented you were inlooking at my car and telling me your honest, expert opinion.(I use the word honest twice, because as small businessowners, we know all too well how dishonest this world is, andits not getting any better).

THE BOTTOM LINE ISThe relationships you keep and the way you run your business

will reflect on your success through good times and bad. Andwhile I know I cant put Edwards words in the bank account, theywill pay dividends in other ways that cannot be measured by nor-mal means. We reached someone; we serviced them correctly andfilled a need. From there, as Edward indicates, the tree will growand branches will spread. I wrote him back thanking him for thekind words, and pointed out that Ive always tried to run the shopas my late father-in-law told me in 1981 when the shop started togrow. Take care of your customers, your vendors and employees;the rest will happen by itself. Pretty strong and accurate wordsfrom over three decades ago. These days, that advice plays over inmy mind more and more.

The technology side of this business is forcing us to changeour approaches to running a shop. There are things that may at firstseem off limits or out of reach; how we approach that relationshipwill dictate our future success, in both good times and bad. Imalready thinking down the road where his words will take me;are you? As long as I am in the business, I will also be in arelationship.


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Are you still in the groove, excitedeach morning about the opportunity thatawaits you? Or are you in a rut starting tofall back into autopilot, making getting tothe end of the day your only goal? Rick,you may be wondering, how do I stay in

the groove? Im glad you asked! Excite-ment and enthusiasm are the naturalbyproducts when you first start down thepath with a big idea or goal. Over time, theexcitement dwindles, making it harder tostay motivated and focused. Let me share

with you the five actions I take that arekeeping me moving forward.

1. Feed your mind first. Before you canhelp others, you need to care for yourselffirst. Likening your mind to a garden,thoughts and ideas are seeds planted everymoment you are awake. As the caretakeror gardener, you have the responsibility toplant, feed and nurture those thoughts(seeds). If you can neglect your gardening,weeds (negative thoughts) will overrunyour garden in a very short time. Youdont have to plant weeds; they just hap-pen. Or you can plant seeds that will bearfruit (positive thoughts) and nurture themdaily with effort. Its your choice. I chooseto work my garden every day by startingeach morning thinking of five things I amtruly grateful for and then I follow that upby reading or listening to something posi-tive for five to 10 minutes. At the end ofeach day, I review my successes of the dayand once again, read or listen to somethingpositive for 5 to 10 minutes. Everythingstarts in your mind, so be careful what youallow in.2. Keep your eye on the prize.You need toremind yourself constantly of where youare going. I do three things every morningto reinforce my focus on my desired desti-nation. First, I visit the image of mydestination in my mind. I close my eyesand I can actually see and feel what itlooks like. My image is so clear that it getsme pumped up and ready to rock. It onlytakes a moment, and I do this in the morn-ing, at lunchtime and just before stoppingfor the day. Second, I write down mygoals every morning and night. Again, thistakes just a minute to do and reinforcesmy destination. The third thing I do iskeep my vision board in front of me all thetime. Its the background on my computerand phone, and I have it printed out in mybedroom and bathroom. A vision board issimply a collection of pictures that repre-sent my goals visually. If you would like

180BIZ FEATURE by Rick White

GROOVE OR RUT?


to see my vision board, let me know and Iwill share it with you.

3. Dont just think about what you want;take action towards achieving it.Dont getstuck in analysis paralysis, overthinkingand scheming... doing nothing. I find thattaking deliberate action towards my goalskeeps me excited and enthusiastic becauseI am actually doing something! Try it; youwill be amazed at just how invigoratingthat this one step is!

4. Measure, measure, measure. It is imper-ative that you are able to measure yourprogress as you move towards your desti-nation. Like losing weight, seeingprogress feeds your motivation to con-tinue and feeds the feelings you get fromtaking action. You must measure daily,track your progress and make adjustmentsas needed. Remember to stay firm on yourdestination and flexible on how you getthere.

5. Celebrate often.Waiting until you get toyour final destination before celebratingcan actually work against you. At somepoint you may think, Why bother? Whatyou want to do is celebrate all the time! Itmight be as simple as a fist pump fol-lowed by a big old YES! to somethingmore elaborate. These smaller celebrationskeep you excited and wanting to rewardyourself more. So if you want to increasesales, instead of waiting until you realizeyour sales goal to celebrate, celebratewhen you get a referral or get up early tovisit that fleet that youve wanted. Seewhat I mean?

The bottom line is that motivation doesntlast forever. You have to set yourself updaily for wins along the way that will keepyou pumped up, focused and on fire. LikeZig Ziglar says, People often say motiva-tion doesnt last. Neither does bathingthats why we recommend it daily.

Stay motivated and see theGREATNESS within you!

About Rick White & One Eighty Business SolutionsRick White is a managing member of One Eighty Business Solutions(180BIZ), a Virginia based coaching and business solutions provider tothe automotive and truck repair industries. Ricks clients consider hima trusted advisor, helping them to increase profits and free time whilereducing stress. If you would like more business tips and thoughts justlike this, please visit our Facebook page at www.facebook.com/180biz. 180BIZ provides affordable, down to earth, one-on-onebusiness coaching with no long-term commitments and a money-backguarantee!To see how we can help you and your business, please emailus at [email protected] or call (540) 833-2014.


NJA

Being in the car business has given me the opportunity own and/or drive somepretty cool cars I would love to have my 1967 GTO convertible back, for example.And the AC Cobra that I had the pleasure to drive many years ago was alsoincredible! IfI had one choice, though, I always come back to the same car: A late 60s Jaguar XKE convertible. The lines of that car have a lot of appeal tome. Whether tooling through the English countryside or up the Pacific Coast Highway, it looks right at home doing what itwas built to do...be driven! Owning one of theseclassic British roadsters would be awesome.1960s TV. So many to choose from!

THE LISTDREAM CARWant to get in on the action? Email [email protected] with the subject head The List -

well make sure youre included in future mailings! And when you see us pop up in your mailbox, please share your opinion. We just might print it in a future issue. And now, onto THE LIST.

Ferrari 458 What can I say? This car leaves me speechless.

1967 Corvette Sting Ray ConvertibleFrom the interior to the drivetrain, this gets my vote as one of the most beautiful - and most powerful! - classic cars out there.

Harley-Davidson Knucklehead BobberNo dream car here, but Ive got a dream bike.

Ford GTIts fast, its sleek, and it handles well. Its the Ford that beat a Ferrari! 1956 CorvetteIts got style and linesand its great eye candy going down

the road.

New Jersey Automotive September 2014 51(Photos courtesy of: caybroendumsparetime.blogspot.com; adoniscars.blogspot.com; www.wikipedia.org;www.ultimategto.com; www.remarkablecars.com); wikipedia.org)

OUT OF BODY (AND MECHANICAL) EXPERIENCES


son, however, was a little concerned. Heasked me how he was going to take thetest on a car he had never driven? I toldhim it was up to him: Try it with that caror wait a month for the correct documentfrom the insurance company. He decidedto give it a try.

Once we were actually in the car, Ifelt so bad for him. Going from a 2014Passat to a 1995 Toyota was a pretty bigchange. As we drove erratically back upto the MVC, I was sure this was a badidea.

We pulled back into the line; miracu-lously, it was empty. This seemed like agood sign, until I realized it was noon. Idid a Google search on my phone for theworst MVC waiting times, and what doyou think came up? Noon to 1pm, ofcourse. Ugh. I told him to get comfortable,because we were about to wait an hour.Poor kid. He was so nervous at the begin-ning of the day and now all of this hap-pened on top of it. I figured hed be luckynot to run over the instructor at this point.But lo and behold, just five minutes in, an

extremely nice woman came out to givethe test.

Of course, she asked for the docu-ments, and I confidently handed her all thecorrect ones lets get this over with.Then she pointed out that the insurancecard and registration for the Toyota hadexpired.

Blood pressure boiling, I franticallygrabbed them from her and looked. Shewas right. They both said 2013. I torethrough the documents. 2012. 2011, 2010.WTF? Then, this incredibly nice womanreached into the side of the glove compart-ment and said, Oh, wait here they are.PHEW! After all that, he was ready to go.

I took my seat at the end of the courseand waited for them to return. After whatseemed like an hour (it was really about10 minutes), they pulled in. As I walkedtowards the car, the instructor seemed tobe talking loudly and pointing to her sheet.I thought the worst. (All this, for nothing?)As she got out of the car, she said, Hepassed. Congratulations! I got into the carand my son let out the biggest sigh of re-

lief Ive ever heard. I was so proud of him.Not only did he pass, but he did so undersome very stressful conditions. Now, aftera five-hour adventure, all we had to dowas go inside and get the license. We werelaughing and smilinguntil we saw theline. It was about 100 deep. Ugh.

But Ive been through this before withmy daughter. I looked at my son and said,Lets go. Where? Just follow my di-rections. We headed out of the Wayne fa-cility and headed to a tiny MVC locationin Wallington, NJ. (Most people dont re-alize that you dont have to get your li-cense at the facility you take the drivingtest.) We walked into the Wallington officeand after showing them the 6,000 docu-ments and a promise to donate my liver,he took the picture, got the license and wewere out of there in less than 20 minutes.

Mission accomplished. But still. Im frigging ancient.

NJA

continued from page 9

paint materials or the allowances that in-surers allow for the cost of paint materials.I said I had a hard time believing that,since my phones are ringing off the hookabout insurance companies attempting togo back to the old dollar figure per painthour formula. After going around andaround with the investigator and explain-ing the problem in detail, he assured methat the Department will reopen the issuein an attempt to resolve the problem ifthey receive input from shops facing theissue. The investigator explained that thebuildup of complaints in a particular areais what causes the department to addressparticular issues.

Based on this conversation, I have de-cided to assist our members by creating ageneric complaint form that provides anoverview of the problem. All the shopshave to do is quickly fill out the form andsend the complaint off to the NJDOBI.This way, the Department realizes that thisis a major problem that desperately needsto be addressed.

I am well aware of the frustration thatAASP/NJ members have expressed in thepast by making complaints about particu-lar situations, specifically the genericSorry, but we can help you letter re-ceived following the complaint. However,this investigator insisted that, if our indus-try makes the effort to generate awarenessof this problem, the Department would ad-dress this issue appropriately. I am callingon each and every AASP/NJ member: Ifyou have had problems with an insurerrefusing to negotiate the cost of paintmaterials fairly and accurately, or ifyouve experienced an insurer refusingto justify their allowances for paint andmaterial, I urge you to utilize the formyou will be provided with in the near fu-ture. You can help make the NJDOBIaware of the problem.

We have needed resolution to thisissue for far too long. This issue shouldvebeen resolved back in 2007 with the

issuance of the bulletin. I can assure any-one reading this article that AASP/NJ isgoing to be dedicated to resolving thisproblem. I can also assure anyone whothinks the hard work and effort that wasput in to get the bulletin issued in the firstplace was a waste of time that they aresadly mistaken. Insurers can consider thisas a shot across the bow, or a warning that

this industry has had enough on this issueand we are not going to stand for it anylonger. If anyone has any questions orcomments or wants to discuss the issuefurther, I can be reached at (732) 922-8909.


NJA

EXECUTIVE DIRECTORS MESSAGEcontinued from page 14


and

Micro-Mix Paintand

Materials Calculatorin Bergen, Passaic, Essex andHudson Counties in New Jersey.

CALLOffice: (973) 696-3176or Cell: (201) 452-0987

Mike LovulloDistributor for

the agency has to offer, Amato offers somewords of practical advice to get themstarted on their way to a better-insuredbusiness:

Everybody should do an insurancereview at least once every couple ofyears, he offers. At least 45 days prior tothe renewal of their policy, they should calltheir agent and check to make sure thattheir policy is being rated properly basedon sales. Sales are up and down, and mostof these garage policies are based on theirannual sales. They should double-check tomake sure they are properly based on thatsales number.

Additionally, Amato advises readers tomake sure they are being charged based onthe correct number of employees and thattheir policies are written with automatic in-flation index protection.

If a shop hasnt looked at their policyin a few years, they might be overpayingon the value of the building and itscontents, he says.

For more information on the AmatoAgency, visit their newly revampedwebsite at www.amatoagency.com.

VENDOR SPOTLIGHT continued from page 16

NJA

ARANJ The Automotive Recyclers Association of New JerseyWharton Insurance Briefs An ARAMemberSafety guards are required by OSHA on one or more parts of a machine at the point ofoperation, where the machine performs work on the material being processed, including: Ingoing nip points, where moving parts contact or come close to other parts; Rotating parts, such as rollers, grinding wheels or circular blades where the operators fingers orhands could be caught.

Machine guards may be: Fixed (fences, gates or covers that provide a barrier to moving parts); Adjustable (barriers that are adjusted to fit different operations); or Interlocking (the power source must be disengaged when opened or removed and must preventrestart unless guards are put back in place).

Safety rules should be posted for all employees to see. Some safety rules include: Never reach around or under a guard; Never remove or disable a machine guard; Dont operate a machine if the guard is not in place or is not working; and Report all machine guard problems to management right away.

As always, please call me with any questions or concerns regarding your insurance program.Mario DeFilippis, AAI, Vice President

800-221-0003 (1320) 908-513-8588 (cell) [email protected]

ARANJ 2014 Officers

President Bob Dirkes, Dirkes Used Auto [email protected]

1st Vice PresidentIan Szoboszlay, Ocean County Auto

732-349-0332 [email protected] Vice President

Darryl Carmen, Lentini Auto Salvage908-782-6838

[email protected] Vice President

Joe Goodman, Leesville Auto732-388-0783

[email protected] President

Norm Vachon, Port Murray Auto908-689-3152

[email protected] Director

Brian Snyder, Auto Recyclers of NJ609-714-2339 [email protected]

ARANJ 2014Board of Directors

Mike Ronayne, Tilghmans Auto Parts609-723-7469 [email protected]

Marvin Leadbeater, Bamber Lake Auto609-639-6500 [email protected]

Mike Yeager, EL & M Auto609-561-2266 [email protected]

Rodney Krawczyk, Ace Auto Wreckers732-254-9816 [email protected]

Mike Caputo, Lacey Used Auto Parts, Inc.609-693-0898 [email protected]



180Biz.com ..................................................48Acme Nissan................................................28Amato Agency..............................................17American Honda Motor Co. ......................4Audi Group ................................................32-33Axalta Coating Systems ..............................IBCBMWGroup ................................................42-43Bridgewater Acura........................................61Brogan GMParts Center ............................8Cadillac of Mahwah......................................27CCC Comp-Est ............................................57Classic Audi ................................................10Clinton Acura................................................31Cosmos........................................................55Crane Chevrolet ..........................................56Empire Auto Parts ........................................62Flemington Group ........................................13Fred Beans Parts ........................................5Future Cure..................................................14Glen Toyota..................................................OBCHackettstown Honda....................................58Hyundai Group ............................................26JMK BMW....................................................15JMK Saab/JMK Fiat ....................................27Klean Frame ................................................62LKQ..............................................................60Maxon Mazda ..............................................36Maxon Hyundai........................................20-21Mazda Group ..............................................38Mercedes Benz of Freehold ........................60The Mike Kaufmann Dealer Group ..............49Mini Group ..................................................39Mitsubishi Group..........................................45Mopar Group................................................11NU-CAR ......................................................46P&L Consultants ..........................................31Paul Miller Audi ............................................19Porsche Group ............................................47PPG ............................................................3PPGMS........................................................18Prestige Motors............................................53Princeton BMW............................................25Princeton Mini ..............................................9RWMallon/Collision Equipment Company ..6Saw Mill Auto Wreckers ..............................56Subaru Group ..............................................50Town Audi ....................................................54Toyota Group ..............................................52Toyota of Hackensack..................................IFCValtek ..........................................................57VIPHonda....................................................61VWGroup ....................................................59VWof Freehold ............................................54Wheel Collision Center ................................57

(973) 714-7550955 Paulison Ave.Clifton, NJ 07011

[email protected]

www.kleanframe.com

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